Malaysia has been urged by the US and EU to rethink a 5G rollout review that could allow China’s Huawei Technologies Co Ltd to bid for a key role in the country’s telecoms infrastructure, the Financial Times reported on Tuesday.
EU and US envoys to Malaysia wrote to the government in April after it decided to review a decision to award Ericsson a 11 billion ringgit ($2.5 billion) tender to build a state-owned 5G network, the report said citing letters seen by FT.
Malaysia’s 5G rollout has seen repeated setbacks because of industry concerns over pricing and transparency, as well as worries that a single government-run network would result in a nationalised monopoly.
Also on AF: Hang Seng, Nikkei Edge Ahead But US Banking, Data Fears Weigh
Huawei had long been seen as the frontrunner for the contract, with the government having previously dismissed security concerns raised by the United States.
“Senior officials in Washington agree with my view that upending the existing model would undermine the competitiveness of new industries, stall 5G growth in Malaysia, and harm Malaysia’s business-friendly image internationally,” US ambassador to Malaysia Brian McFeeters wrote in one of the letters.
“Allowing untrusted suppliers in any part of the network also subjects Malaysia’s infrastructure to national security risks.”
- Reuters with additional editing by Sean O’Meara
Read more:
Huawei, ZTE Face German 5G Ban Over ‘China Backdoor’ Fears
Huawei Replaces US-Sanctioned System That ‘Threatened Survival’
China’s Huawei Aims to Lead a 5G Boom in Africa – SCMP
Huawei Dominates Global Tech Fair Despite US Curbs – US News